Buying & Selling Your Home Lesson 8
Key Points
- A house is the largest financial investment you will ever make.
- Here’s your home-buying plan: a 15-year fixed-rate mortgage with at least a 10% down payment and monthly payments that are no more than 25% of your take-home pay.
- When you pay off your home, you’re 100% debt-free!
Video
Action Items
See how fast you can pay off a house
Whether or not you’re currently a homeowner, head over to Ramsey+ to discover how quickly you could pay off a home (maybe the one you’re in right now!) in Baby Step 6 by making extra payments on your mortgage.
If you're in Baby Steps 3B...
First, discover how much house you can afford in Ramsey+. Then, as you save more and more toward your down payment goal, track your progress in your membership. Finally, when you’re ready to buy a home, connect with a local real estate agent who is RamseyTrusted.
Schedule a budget committee meeting
You’re coming up on your next budgeting cycle, so it’s time for another Budget Committee Meeting. For your next budget, pay close attention to how much you’re paying toward housing each month. Do you have too much house? And don’t forget to track your transactions in Every Dollar.
Complete your Financial Snapshot
Complete your Financial Snapshot via the FPU Member page. Then celebrate your progress!
Read "PMI: Necessary or not?" on Page 126 of your workbook FPU Workbook
This Deep Dive shares a little more about why you should avoid private mortgage insurance and how to get rid of it once and for all.